Preferred shares, in my opinion, are not replacements for a fixed income instrument but they do make a good addition to a conservative portfolio when used in your non-registered accounts to take advantage of the dividend tax credit.
If your asset mix is 65% fixed / 35% equity I would limit exposure to preferreds at 10%. Most issues, especially a CPD, don't have end dates which doesn't work well for individuals such as yourself who are retired and might need access to funds. You can't build the same type of properly laddered portfolio with prefs as you can with bonds and GICs.
Also look at the exposure to financials in the CPD, 84% ... something to think about!
If your asset mix is 65% fixed / 35% equity I would limit exposure to preferreds at 10%. Most issues, especially a CPD, don't have end dates which doesn't work well for individuals such as yourself who are retired and might need access to funds. You can't build the same type of properly laddered portfolio with prefs as you can with bonds and GICs.
Also look at the exposure to financials in the CPD, 84% ... something to think about!